Save Money By Cutting The Cost of Energy
15 Feb
I do love this picture so I have recycled it!
As promised in Step 3 of my Get Debt Free series – Cut Your Expenses some tips on saving money by reducing your energy costs. I’ve discussed using state and federal government rebates to buy water and energy saving products and appliances, so this is more about changing the way you use your every day appliances to save money.
To help do this I found this household energy report you can undertake to find out where you are using the most energy and how easy it is to save money by making a few simple changes to the way you use your appliances.
In step 1. You simply add some details to help the program calculate the energy efficiency of your home. In step 2 you add details about your usage by going through your home room by room. You then get to compare it to the “average” household. Step 4 provides tips about to improve the energy efficiency of your home.
Firstly I was surprised by my results. Our consumption based on my estimates was 202.36kWh per week which was under the average Australian household consumption of 221kWh per week. What I learned when looking at my last electricity bill was that either my estimates are way off or that energy consumption differs greatly, according to the season. I’m thinking it is a little of the former and a lot of the the latter. Our last bill shows an average weekly consumption of just 123.25kWh which with the T11 tariff and GST takes the total to $324.38 for the quarter – this was the months of September, October and November – Spring in Australia, a warm time of year. I suspect the bill that is due now will be closer to the estimate as it will cover the Summer months of December, January and February and this year it’s been another really hot one.
When I look at this and realise that the average household usuage for a quarter must equate to a bill in excess of $45o I’m quite pleased. However what was of major interest to me out of the whole exercise was how much energy and money could be saved when I redid the report changing the amount of the time appliances were connected for.
Looking at this in more detail specifically the appliances that do not need to be connected 24/7 and yet are I have found a way to save a little more – the report states that around 11% of average energy costs come from appliances on standby! Listed below are a few appliances and weekly cost connected 24/7 then the same appliance and the weekly cost, connected only when in use. I have trebled the rate in the hope of a more accurate comparison for the appliance listed the second time as I can not calculate the actual rate when in use as opposed to standby.
DVD Player
168 hrs = .84 cents (x12 = $10.08)
DVD Player
6 hrs @ rate x3 = .09 cents (x12 = $1.08)
TV # 1 CRT
168 hrs = $3.31 (x12 = $39.72)
TV # 1 CRT
35 hrs @ rate x3 = $2.07 (x12 = $24.82)
PC with LCD monitor
168 hrs = $3.74 (x12 = $44.88)
PC with LCD monitor
42 hrs @ rate x3 = $2.81 (x12 = $33.66)
I realise this is fairly inaccurate in terms of the cost of the appliance in the first instance as the standby rate is not the same as the in use rate. However I believe that savings could easily measure up to the 11% the report suggests.
Based on the Average Australian household there’s a saving of around $150 per year to be saved just be switching off at the wall. That’s another $150 toward being free from credit card debt! Isn’t that exciting? As the count on our next quarter is just about to be begin, I’m going to test it out and will report on the results in May.
Related posts:
I think you offer some very sound advice here Robyn. As a self-proclaimed miser, I REALLY get into a money saving analysis like what you have laid out here. “Hi my name is John and I am a tightwad…”
I drove my kids crazy when they were growing up with turning out lights, turning off the TV, shutting the front door and the constant “Stop standing in front of the fridge…take something out and shut the door!” I always unplugged the TV’s, PC’s, basically all electronic equipment, as well as turn down the hot water heater, every time we would travel out of town.
In your example you cite a savings of $150.00 per year. I personally know many people who would laugh at saving that seemingly small amount. These are the same people who have credit card debt up the wazoo. $150 makes me absolutely giddy!!! Are you kidding me? As you stated, I would put towards my credit cards!
Thanks for the nice read right before bedtime…I will be dreaming of saving some extra bucks! :)
[Robyn - You can delete this link if you want, but I thought you might like...I'm not trying to spam you with my post :)]
Some money saving analysis:
http://www.ezgreatlife.com/2008/03/18/no-thanks-ill-just-have-water
John
Loved the article and another one I found through related posts (such a good plugin) http://www.ezgreatlife.com/2008/04/17/how-we-saved-2548000-and-so-can-you. Excellent stuff and it gave me an idea for a new weekly post: Tight Art Tuesday :) I like the ideas I have already so thankyou.
“I personally know many people who would laugh at saving that seemingly small amount. These are the same people who have credit card debt up the wazoo.”
Yep I was one of them. Before I reformed myself. Look out for Tight Art Tuesday in the coming weeks.
I was one of them too. A little known John fact…I have run up enormous debt twice in my life. The last time being in the late nineties. We teetered on bankruptcy and then paid it all off, twice. This, as you know, took significant life style changes [the 2nd time] and is no easy task. I am proud to say that the only debt I have now is my mortgage and my wife’s school loan. We are hoping to pay off our mortgage early, by making consistent, small, extra principal payments. We are using the money we used to pay towards credit cards and other debt. :)
I am looking forward to Tight Art Tuesday!
Take care! AND thanks for the link love!